REPORT PRODUCED BY CIGNPOST DIAGNOSTICS DATA DEPARTMENT
WALEED IDREES (DATA SCIENTIST) ,BEN NEFFENDORF (HEAD OF INSIGHT)
DYNAMIC PRICING ANALYSIS FOR RHC SITES
2021-12-06
Background
This analysis is to understand the impact of dynamic pricing (DP) on the number of sales and revenue.
Dynamic prices was introduced for PCR-FTF tests on the following sites from these dates:
Control Sites
We have three types of sites, RHC, Retail and Airport where dynamic prices are introduced.
Control sites were selected by comparing the number of PCR-FTF tests for the month of October and finding the sites which have similar
number of tests.
We selected following sites as control sites:
“London Paddington Station” as a control site for “London Brent Cross Drive Through”
“London St. Paul's One New Change Walk Through” for “London Brent Cross Walk In”
“Hatfield the Galleria” for “London Westfield Shepherds Bush”
“Manchester Arndale” for “Gateshead Metro Centre”
“Oxford Westgate Shopping Centre” for “Dartford Bluewater”
Site Dynamic Pricing Date
London Brent Cross Drive Through 2021-11-05
London Brent Cross Walk In 2021-11-05
Gateshead Metro Centre 2021-11-05
Dartford Bluewater 2021-11-05
Summary
After introduction of dynamic pricing revenue for Brent Cross DT and Brent
Cross WI increased by13.2% 30%. Whereas the revenue for control site
Paddington in November is decreased by 5.3%. and St. Paul’s seen an increase
by 11.8%
There is an overall 79% and 20% increase in revenue for Shepherds Bush and
Dartford.
Main driving force for increase in revenue and sales is sales coming from 4+
horizon group.
Proportion of sales for Brent Cross DT and Brent Cross WT for booking horizon,
4+ has gone up significantly from 34.79 to 58.82 and 34.02 to 57.01 percent,
respectively.
Proportion of sales for Shepherds Bush, Gateshead and Dartford for booking
horizon, 4+ has gone up from 30.29 to 59.90, 54.10 to 64.8 and 56.94 to 71.69
percent, respectively.
RHC Control Sites Selection
To analyze dynamic price introduction effect on revenue and sales for dynamic pricing sites we compare the results of October to
November and vs control sites.
Control sites were chosen by finding a site with similar number of tests.
Total number of tests for brent cross WI are like London St. Paul's and London brent cross dt are like London Paddington, shown
by the graph above. Similar sites are highlighted by the same colors.
Brent Cross DT vs Paddington - Overall
After the introduction of dynamic prices, sales for Brent Cross DT show a significant increase, however, the sales for the
control site Paddington show a slight declining trend.
November sales for both sites have increased
After the introduction of dynamic prices there is a larger increase in sales for Brent Cross WI
Brent Cross WI vs St Paul’s - Overall
The increased total sales in London Brent Cross DT is mainly due to significant increase in sales of 4+ booking Horizon.
The graph shows that there is not much change in booking horizon 0 and 1-3.
At the same time, the sales pattern for Paddington (control site) doesn’t change much and stay the same
Brent Cross DT vs Paddington – Booking Horizon
The increased total sales in London Brent Cross WI is mainly due to significant increase in sales of 4+ booking Horizon.
Number of sales in Brent Cross WI shows a decreasing trend for 0 and 1-3 horizons.
on the other hand, we notice and increasing trend in sales of tests for booking horizon 4+.
Brent Cross WI vs St Paul’s – Booking Horizon
Proportion of Sales for Paddington and St Paul’s for all booking horizons stays the same in October and November.
Proportion of sales for Brent Cross DT and Brent Cross WT for booking horizon, 4+ has gone up significantly from 34.79 to 58.82 and 34.02 to 57.01 percent, respectively.
Sales Percentage By Booking Horizon
Brent Cross DT vs London Paddington
Brent Cross WT vs St. Paul’s
Sales Revenue for 4+ horizon has gone up significantly from 34.79 to 50.92 and 34.02 to 49.13 percent, respectively.
Revenue Percentage By Booking Horizon
Brent Cross DT vs London Paddington
Brent Cross WT vs St. Paul’s
The graph above shows total sales for Brent Cross DT vs Paddington and Brent Cross WI vs St. Paul’s for Oct and Nov.
In Nov sales increases for Brent Cross DT by approximately 31% . However, for Paddington sees a 5% drop in sales in November.
In November sales increases for Brent Cross WI by approximately 49%. However, St Paul’s sees a 12% increase in sales in November but the
increase in sales in significantly lower than Brent Cross WI.
Total Test Volumes
Brent Cross DT vs London Paddington
Brent Cross WT vs St. Paul’s
Total Revenue Volumes
The graph above shows total sales for Brent Cross DT vs Paddington and Brent Cross WI vs St. Paul’s for Octo and Nov.
There is an overall 13.2% increase in revenue for Brent Cross DT in November compared to October. Whereas the revenue for control site
Paddington in November is decreased by 5.3%.
There is an overall 30% increase in revenue for Brent Cross WT in November compared to October. Whereas the revenue for control site St. Paul’s
in November is increased by 11.8%
Brent Cross DT vs London Paddington
Brent Cross WT vs St. Paul’s
Retail Site analysis
Retail Control Site Selection
To analyze dynamic price introduction effect on revenue and sales for dynamic pricing sites we compare the results of
October to November and vs control sites.
Control sites are chosen by finding a site with similar number of tests.
Total number of tests for Brent Cross WI are like London “Hatfield the galleria” and London “Gateshead metro center” are
like “Manchester Arndale” and “Dartford Bluewater” are like “Oxford Westgate shopping center”, shown by the next Graph
below.
Similar sites are highlighted by the same color.
London Shepherds Bush vs Hatfield - Overall
Graph above shows, Shepherds Bush sales after the introduction of dynamic pricing increased significantly and an increasing
trend is observed.
However, the sales in Hatfield show a slight increase and then a declining trend is noticed.
Gateshead vs Manchester Arndale - Overall
No significant increase in total sales in observed for Gateshead in November compared to October.
Total sales for Manchester Arndale (control) also doesn’t show any significant change in both months.
Dartford vs Oxford Shopping Centre - Overall
Dartford Post-dynamic pricing shows a significant increase in sales and shows an increasing trend.
However, out control site Oxford Westgate doesn’t show a significant increase in sales in November .
London Shepherds Bush vs Hatfield – Booking Horizon
The graph shows that a slight decline and decrease in sales for 0 horizon tests for Shepherds Bush.
However, we see a significant increase in sales in booking horizon 1-3 and 4+ and observe an increasing trend.
Whereas number of sales and trend for the control site Hatfield stays almost the same for 0 and 1-3 and sales decrease for
4+ booking horizon in November.
Gateshead vs Manchester Arndale – Booking Horizon
The graph shows that a slight decline in 0 and 1-3 booking horizon sales for Gateshead and observe a declining trend.
However, we see a significant increase in sales of booking horizon 1-3 and 4+ horizons and observe an increasing trend.
Whereas number of sales and trend for the control site Manchester Arndale shows a slight increase in 0 booking horizon
and 4+ horizon but a stays more of less the same for 1-3 booking horizon. No significant changes in numbers are observed
in control site.
Dartford vs Oxford Shopping Centre – Booking Horizon
The graph shows that a slight decrease in sales for and a slight declining trend for 0 horizon tests for Dartford.
1-3 booking horizon doesn’t show any significant changes for Dartford in October and November.
However, we see a significant increase in sales in booking horizon 4+ and observe an increasing trend.
Our control site Oxford Westgate shows overall increasing trend in all horizons but not significant increase in
sales is noticed in November.
Sales Percentage By Booking Horizon
Proportion of sales for all control sites, Hartfield, Manchester Arndale and Oxford Westgate stays the same in Oct and Nov for all booking horizons.
Proportion of sales for Shepherds Bush, Gateshead and Dartford for booking horizon, 4+ has gone up from 30.29 to 59.90, 54.10 to 64.8 and 56.94 to 71.69
percent, respectively.
1-3 and 0 horizon sales proportion has decreased from 41.04 and 28.67 to 28.48 and 11.61 percent, respectively.
1-3 and 0 horizon sales proportion has decreased from 32.44 and 12.52 to 27.03 and 10.7 percent, respectively.
1-3 and 0 horizon sales proportion has decreased from 33.8 and 12.10 to 26.3 and 8.9 percent, respectively.
Hatfield Galleria vs Shepherds Bush
Gateshead vs Manchester Arndale
Dartford vs Oxford Shopping Centre
Revenue Percentage By Booking Horizon
We established that post dynamic prices the sales in higher booking horizons have increased significantly and there
is a decrease in the sales proportion of 0-3 booking horizon.
The Graph above shows the shows the change in revenue proportions by booking horizons October vs November.
Hatfield Galleria vs Shepherds Bush
Gateshead vs Manchester Arndale
Dartford vs Oxford Shopping Centre
Total Test Volumes
The graph above shows total sales for three Dynamic Pricing Retail Sites
In November sales increased approximately 100%, and 44% for Shepherd Bush and Dartford
Dartford vs Oxford Shopping CentreGateshead vs Manchester ArndaleHatfield Galleria vs Shepherds Bush
Total Revenue Volumes
We saw that number of sales have increased for lower priced tests and decreased for higher priced ones.
There is a significant increase in sales in both RHC dynamic price sites.
But now we are going to see if overall our revenue has increased or decreased.
There is an overall 79% and 20% increase in revenue for Shepherds Bush and Dartford
Gateshead vs Manchester ArndaleHatfield Galleria vs Shepherds Bush Dartford vs Oxford Shopping Centre
